According to the National Association of Realtors, the median price of a single-family home reached $446,400 in June, with an average mortgage rate of 6.57%. This has pushed the income needed to qualify for a mortgage to $109,152, up from $93,552 in January when the median price was lower at $398,200.
Although affordability has decreased, it is slightly better compared to June 2025, when higher mortgage rates and income requirements were noted. The recent inflation rate of 3.5% has matched wage growth, indicating that rising prices are eroding purchasing power.
Looking ahead, Lawrence Yun, NAR's chief economist, anticipates slight improvements in affordability as the market cools post-summer, potentially benefiting buyers if mortgage rates decrease.
The bipartisan 21st Century ROAD to Housing Act aims to enhance housing supply and affordability, but experts warn that it may take time to see tangible benefits due to a significant housing shortage of over 4 million homes